Amazon boosts entry-level wages in Germany to a minimum of EUR 15.65, effective September.
Amazon, the global e-commerce giant, has announced a significant wage increase for its logistics employees in Germany. The new gross starting wage for unskilled workers will be at least €15.65, with plans to exceed €16 by next September [1][2].
The decision to raise wages comes as Amazon aims to improve pay consistency across its German locations and continue its trend of annual wage increases since 2014. Over 90 locations involved in shipping, sorting, and delivery will be affected by this change, with the ultimate goal of achieving a uniform €16 wage by 2026 [1][2].
Key reasons for the increase include standardizing wages across locations, responding to labor market and competition, and maintaining a history of yearly wage improvements in logistics roles. Currently, only 22 out of 92 centers pay €16 or more, but the increase will raise that number to 52 [1][2].
Amazon's Country Manager, Rocco Bräuniger, emphasized the wage increases, stating that the company has been raising logistics wages annually since 2014. However, the company has rejected collective bargaining agreements, a decision that has drawn criticism from trade unions [2].
The wage increase will benefit over 40,000 German employees who work in logistics roles, making up the majority of Amazon's workforce in the country [1][2]. Starting in September, logistics employees at Amazon will earn an average of more than €40,000 gross per year after two years of service [1][2].
It's important to note that Amazon does not have uniform wages across Germany, with individual locations potentially paying more. The wage increase announced applies to approximately 90 Amazon locations in Germany, although the article does not provide information about the number of locations affected beyond the 90 mentioned [1][2].
This news was announced in Munich by Amazon's German subsidiary [1]. Sources for this article include ntv.de and dpa.
[1] ntv.de. (2023). Amazon will increase starting wages for logistics workers in Germany. Retrieved from https://www.ntv.de/wirtschaft/amazon-will-start-gehalte-fuer-logistiker-in-deutschland-steigern,dpg5yQZ
[2] dpa. (2023). Amazon raises starting wages for logistics workers in Germany. Retrieved from https://www.dpa.de/ct/wi/de/104/57/6480005/6480781/amazon-steigert-startgehalte-fuer-logistiker-in-deutschland.html
Community policy changes may need to address Amazon's raise in logistics employee wages, considering the impact on the company's overall finance in the business sector.
The increase in employment policy, driven by wage improvements for logistics employees, could potentially influence other industries in the German market to follow suit in striving for pay consistency and competitiveness.
